FDA loan won’t significantly improve power struggles: Eskom

Eskom building
Reading Time: < 1 minute

Eskom says the R1,5 billion loan agreement it has signed with the French Development Agency (FDA) will not significantly improve its power struggles. The power utility, which is in almost R 500 billion debt, announced on Thursday that it had entered into the agreement to support its plans to build more transmission lines on the West Coast.

Eskom spokesperson, Khulu Phasiwe, however, says the money has been designated to a different project, which will not significantly improve the ongoing problems.

On Friday, President Cyril Ramaphosa appointed an eight-man task team to advise government on how to resolve the power utility’s operational, structural and financial challenges.

Watch video below: